The blockchain technology is here to stay, and if you don’t know much about it, it is time to learn anything you can about it. Most people think blockchain is just an under pinner for a new digital asset called cryptocurrency (like Bitcoin).
But gradually this technology is advancing at an alarming rate and has the potential to change the world for good. It has the capacity to change how we work, play or do anything in almost every industry from agriculture to business.
Before we continue to read how it’s changing the world, let’s talk a bit more about Blockchain.
- In layman terms, blockchain is the newest and fastest way to store information. It is just a ledger, but in the virtual world that is owned by the users (nodes) on its network.
- Any changes made to the ledger are verified and then visible to everyone, changes can be a legal contract and so on.
- Some people say that it has the potential to remove bureaucracy as it removes the middlemen in huge tasks like buying a house. This is done as blockchain uses smart contracts and codes for manual process.
5 Ways Blockchain Is Changing The World
1. It makes international money transaction quicker
- Money transaction across countries has always taken days to process which can be frustrating when you need it to happen immediately. Banks in other countries nowadays, hold foreign currencies in Nostro/Vostro accounts. They use SWIFT messaging system for transferring the amount, which can happen in the same business day if both the banks have an agreement.
- But, in a developing country, they use intermediaries, which take up a lot of time and are expensive too.
- Blockchain has a solution for this which is called Ripple’s xCurrent. This decreases the amount of time and cost spent on transferring money abroad by a huge percentage.
- All the banks concerned are connected through a blockchain network. It uses cryptographic signatures to automatically check IDs and perform other documentation automatically.
- Once all this happens, the transactions get cleared in a matter of seconds while you get a transparent record.
2. It makes raising capital easy
- Blockchain has an ICO framework that has almost made the process of raising capital easy. Especially, for a new business, it provides an easy level of accessibility for raising capital.
- Before blockchain, if businesses wanted to raise capital, they needed to go through bureaucracy with traditional lenders. It was a slow procedure, and repayment terms were never great.
- But, this all can and will change with ICO. It enables the business to crowdfund the projects from the start. They just have to present their ideas, and vision to the online community and if they like the idea, capital is raised through organic support.
- Not only is this a quicker process, but there is no marketing cost.
3. It will help to improve health issues
- Medical history of a person is crucial for the doctors to treat any ailment. But if the said details are spread across various systems, it becomes a problem.
- All the multiple hospitals will take time to send over the details to a point that you have to do it manually. This is not only frustrating, but without the details, the doctors won’t be able to treat you or send you for test/treatments that you don’t require increasing your expense.
- Blockchain makes treating health problems easier as it provides accurate data urgently. This is done by creating a permanent record on the blockchain network, which is owned and accessed by you.
- Whenever the doctors ask for your previous records, you can pull up any records through this system.
4. It improves the agricultural department
- Blockchain technology has enhanced the agricultural sector which is the backbone of any country.
- Through this, farmers, consumers, and retailers can maintain a transparent record to identify any product’s source and journey.
- This helps the farmers get just price for their hard-work, retailers know that their products are legal, and consumers know the source and ingredients of the services they consume.
- Blockchain ecosystem records everything about a product- from its cultivation to it being sold off. This makes it harder for corrupt people to quote the wrong price or take the share of the farmers.
- Also, it will revolutionize the agriculture sector with its smart technologies like real-time SMS alerts or weather predictions that are correct to the fault.
5. It will help you earn money with little work
- Uber is one example that connects people and earns huge profits when they don’t even drive or do anything (actual driving is done by the hired drivers).
- The blockchain technology is decentralized. It means that there are no middlemen, so you can easily rent out home or a car and earn enough profits.
Since the inception of this technology in the year 2008, it has opened up many gates for development and commercialization. And in the future too, it will be used for the betterment of things, so it’s better that we get behind it for efficiency.